ENERGEIA - University of Aberdeen · 2018-02-01 · links all over the world, the University of Aberdeen is ideally placed to work with the energy industry on the challenges it faces

North Sea investment potential

Exploiting heavy oil reserves

Beneath the waves in 3D

Aberdeen: A community of science

AT WORK FOR THE ENERGY SECTOR ISSUE 1

ENERGEIA

Deepening subsurface research

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CONTENTS3/5 does the north Sea still hold significant investment potential?

6 developing explorers for the new frontiers

7 exploiting the potential of heavy oil

8/9 Taking the legal lessons learned in the north Sea to a global audience

10 industry partnership drives research into sensor systems

11 Beneath the waves in 3d

12/13 does understanding human behaviour hold the key to improving offshore safety?

14 The art of our earth

15 innovative partnership deepening subsurface research

16/17 Aberdeen: A community of science

18 Aberdeen student wins prestigious international scholarship

18 investing in the energy ‘stars’ of the future

19 Aqua sports for all

19 energy industry plays major role in iconic new building for Aberdeen

North Sea investment potential

Exploiting heavy oil reserves

Aberdeen: A community of science

AT WORK FOR THE ENERGY SECTOR ISSUE 1

ENERGEIA

Deepening subsurface research


2 www.abdn.ac.uk/energy

ENERGEIA

As an internationally-renowned research and teaching institution at the heart of Europe’s Oil Capital and with academic links all over the world, the University of Aberdeen is ideally placed to work with the energy industry on the challenges it faces. From major research on the environment of

the deepest oceans to the latest teaching on global economics, we thrive on developing solutions which will boost the sustainability and competitiveness of the energy sector.

Our aim is to be a partner of choice for the industry by giving it the world leading research, talented graduates, and highly skilled professional colleagues to unlock and exploit the opportunities that lie ahead. Read on to learn more on how we are using our excellence in engineering, in science, in economics , law and psychology, to work with the industry. We look forward to exploring with you the many ways that we can work together for the benefit of the energy industry, of academic research, and the economic health and vibrancy of our region.

Professor Ian Diamond FBA FRSE AcSS

Principal and Vice-Chancellor

Q) You have recently published an independent prediction of activity in the UKCS. How optimistic are you that the North Sea remains a viable source of oil and gas?

A) Our new research paper indicates that there is a very substantial potential remaining in the UK Continental Shelf (UKCS). To date around 40 billion barrels of oil equivalent (bnboe) have been produced since 1967. Our detailed economic modelling shows that over

the next 30 years at least another 14 bnboe and possibly as much as 23 bnboe could be produced.

Q) Why such a big range?

A) There are major uncertainties regarding the behaviour of oil and gas prices and the fruits of future exploration. The rate of technological progress, the levels of investment costs and the future tax arrangements are also quite uncertain and impact substantially on long term production. We thus undertake sensitivity analysis to obtain a plausible range of outcomes.

Q) What about the short to medium term prospects?

A) Field investment should increase notably in the short term with the development of committed projects, but in the period 2013-2016 there could be a substantial fall. After that there should be an upward rebound.

There is a substantial sensitivity of field investment to oil and gas price behaviour. In our medium price case, investment could increase from £5 billion in 2010 to £8 billion next year and then fall to £4 billion in 2015. In our high price case, investment could increase to nearly £10 billion in 2013 and then decline to £6 billion in 2016. Unfortunately this volatility is a feature of the industry, reflecting not only the oil price sensitivity of returns on new capital projects but the inevitable irregular timing of the development of new fields.

Q) And in the longer term?

A) The longer term prospects depend upon combinations of (1) the decline rates in mature fields, (2) the mitigation of these decline rates by investments in incremental projects, (3) the development of undeveloped discoveries, and (4) the fruits of further exploration. In turn how many developments take place ➭

With falling levels of production and the recent uK government tax hike, does the North Sea still hold significant investment potential? Alex Kemp, professor of petroleum Economics and Director, Aberdeen Centre for Research in Energy Economics and Finance (ACREEF) at the university of Aberdeen, discusses the long term prospects for activity in the North Sea.

Does the North Sea still hold significant investment potential?

Pictured: Professor Alex Kemp 3

ISSUE 1

www.abdn.ac.uk/energy

will depend upon oil and gas prices, trends in costs (per barrel), the tax arrangements, and other industry behavioural factors. There are over 300 undeveloped discoveries, most of which are small, and so costs per barrel are high. The taxation terms and other factors such as third party access terms play important roles in determining the pace of development and thus production.

Q) How do your projections compare to official ones made by DECC?

A) DECC has just updated their estimates of the remaining potential. Their central estimate is just over 21 bnboe, with a low one of 11.3 bnboe and an upper one of nearly 36 bnboe. These have no time factor but are consistent with our own separate

modelling. In July the Office of Budget Responsibility published their Fiscal Responsibility Report. This contains an oil and gas production projection which simply extrapolates a continuing decline rate of 5% per year to 2040, leading to 12 bnboe being produced between now and that year. This would be a disappointing outcome, especially in the context of the relatively high oil prices assumed. We are suggesting that, with suitable incentives and an increase on the yearly numbers of new developments above those achieved in recent years, the production decline rate could be moderated, and, in the case of oil, even be reversed for some years.

Q) Given the continuous decline since 1999 how could oil production possibly be increased?

A) In our modelling we are finding that from around 2017 the oil production decline could be reversed principally due to the development of fields and incremental projects in the West of Shetland region. These could be sufficiently large as to reverse the oil production decline for the whole of the UKCS for several years. This finding is consistent with DECC’s views on the remaining resource potential.

Q) How has the change in UK tax rates for oil production impacted on projections for activity in the UKCS?

A) Our modelling found that over the next 30 years investment could be adversely affected to such an extent that cumulative oil and gas production would be between 1-2 bnboe less than it otherwise would have been. The

➭ Does the North Sea still hold significant investment potential?

main effect would not be felt in the short term, because several substantial projects are already committed, but in the medium and longer term. The (complex) tax system is essentially a flat-rate one but there is a high variability in the profitability of the new fields and incremental projects. Thus tax reliefs for those of low or marginal profitability are necessary. The net result should be to make the whole system progressive rather than flat-rate. We are working on this subject at the present time.

Q) What can be done to enhance activity levels?

A) A tax system which recognises that many prospective new investments offer only modest or marginally acceptable returns is clearly important. There has been much talk about

Alex Kemp is Professor of Petroleum Economics and Director, Aberdeen Centre for Research in Energy Economics and Finance (ACREEF) at the University of Aberdeen.

➭


ENERGEIA

Professor Alex Kemp has been published widely on the licensing and taxation aspects of the relationship between the oil companies and Governments with particular reference to the North Sea.

Professor Kemp recently became a member of the Scottish Energy Advisory Board to the Scottish Government and has also advised many other Governments, companies, and the World Bank on petroleum licensing and taxation. From 1993 to 2003 he was a member of the Energy Advisory Panel to the DTI. In 2006 he was awarded the OBE for services to the oil and gas sector.

Professor Kemp is author of The Official History of North Sea Oil and Gas (2 volumes) published in September 2011.

the negative effects of fiscal instability in increasing the riskiness of new investments, resulting in licensees employing higher hurdle rates when assessing projects. While it may be difficult for a government to offer full fiscal stability it is vital that investors have confidence that the system in place reflects a full understanding of the basic economics, and the industry should certainly not be regarded simply as a convenient source of extra short-term revenues.

But enhancing activity levels requires not only a tax system which recognises the basic economics of the industry. Increasing the numbers of fields brought into production year by year can be helped by improving the efficiency by which third party access to infrastructure is achieved. The existing Infrastructure Code of Practice has been only partially successful in this respect. It has to be hoped that when the current Energy Bill is enacted there will be an improvement. This Bill gives DECC more pro-active powers to intervene when negotiations between the parties are prolonged.

To maximise economic recovery from the UKCS further R and D is necessary both to facilitate the development of small, very high cost fields and to increase the recovery factor from mature fields. For some years the level of R and D in the UKCS from all sources has been low and further initiatives are required from all stakeholders if the potential is to be maximised.

Q) How will this impact on decommissioning?

A) It impacts on decisions to invest further in mature fields and to sell/purchase such mature assets. Key issues are the tax reliefs which will be available for the decommissioning costs, and the problem of financial security relating to these costs when sales and purchases

of fields are made. These can readily influence investment decisions in incremental projects. The decision in Budget 2011 to disallow tax relief on the increased element of the Supplementary Charge (from 20% to 32%) has exacerbated the uncertainty in the industry over the future availability of tax relief. The Supplementary Charge is a profits tax and decommissioning expenditures are legitimate, relevant costs which makes their disallowance very odd. It is important that confidence is restored on the availability of relief for these (very large) prospective costs. Our modelling indicates that by 2042 the cumulative costs could exceed £30 billion.

DECC are concerned to ensure that, when mature fields are sold, the licensees are able to meet the prospective decommissioning liabilities. If they have a doubt they can insist on bank guarantees, and they reserve the right to call on the selling party if the buying party is unable to provide adequate security. While it is fully understandable that the government takes a risk-averse attitude on this issue, the present arrangements can inhibit worthy transfers and increase costs all round. Various solutions have been debated, including the idea of a Decommissioning Trust Fund with relief for alienated contributions into it. It is important that a solution be found if maximum economic recovery is to be procured.

Q) Are there any lessons for the future from the publication of your new book The Official History of North Sea Oil and Gas (2 volumes)?

A) Some major issues do recur. The issue of third party access to infrastructure has been a recurring one since the 1970s. The question of the extent to which the terms should be left to negotiations between asset owner and prospective user or whether the government should

actively intervene has remained unresolved to this day. It has become more important now because of the much greater need for expeditious agreements. The decommissioning liability question emerged as a big issue in the mid-1980s and remains unresolved. The perceived need by the government to target specified amounts of tax revenues from the industry in order to meet macroeconomic budget objectives has also occurred historically, most notably in 1981 and 1982 when it was felt necessary to increase tax receipts from North Sea oil by £1 billion per year. In today’s money this is close to the extra £2 billion per year which the government has incorporated in Budget 2011. The lesson for the industry is that it is wise not to overlook the government’s budgetary situation in assessing possible future tax policy.

Q) You were recently appointed a member of the Scottish Energy Advisory Board to the Scottish Government. Will this help you to communicate your views to policy makers?

A) Yes. The First Minister chairs the Board. I will also benefit from hearing the views of leading industry figures who are members of the Board. ❑

For more information: Professor Kemp, [email protected]

The official history of north Sea oil & Gas is available from: www.routledge.com/books/details/9780415570947

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To maximise economic recovery from the UKCS further R and D is necessary both to facilitate the development of small, very high cost fields and to increase the recovery factor from mature fields.

5

ISSUE 1


Since the wagon trains rolled west across the fledgling united States, the term ‘frontier’ has always conjured geographic expansion. Whether exploring the poles, rainforests, deserts, high peaks or deep oceans, successful explorers share common mindsets and characteristics.

hydrocarbon explorers need a unique set of thinking and behavioural qualities, the geological inquisitiveness to leave no stone unturned. And their greatest tool – the human mind.

This is the rationale behind explohUB, the exploration training centre set up at the University of Aberdeen as a unique partnership between industry and academia to prepare exploration geoscientists for the challenge of discovering the earth’s remaining hydrocarbons.

“When it comes to the hunt for hydrocarbons, the frontiers are certainly changing,” says ExploHUB Director Dr Stuart Archer. “As the world’s sedimentary basins become exhaustively explored, the term frontier means more than just a land grab for new acreage. Today’s frontiers are everything from deeper and hotter plays (HPHT), previously unrecognised subtle stratigraphic traps, and targeting undrained compartments and previously missed pay. We also need to tackle the unconventionals, release the value in heavy oil, and exploit advances in seismic imaging and drilling technology.”

Stuart knows his field. As an exploration and a production geologist for over 15 years his experience includes exploring the Atlantic Margin, the Central North Sea, the Gulf

For more information: Stuart Archer +44 (0)1224 273449, [email protected] www.abdn.ac.uk/explohub

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of Mexico, as production geologist on the Britannia Field and most recently on the newly discovered HPHT Jasmine Field in the North Sea’s Central Graben.

“We know that most of the planet’s ‘easy’ hydrocarbons have been found,” he adds. “As a community we need to do something different to access the more complex reservoirs. We need a new generation of ‘explorationists’, equipped with the inquisitiveness, skills and creativity required to successfully discover what Earth may still be hiding from us. This is exactly what ExploHUB is all about.”

One example of a frontier that Dr Archer believes must be crossed is the lack of regional-scale play fairway analysis skills. His view is that the importance of regional geology and play fairway analysis has been undermined over the years by an over-emphasis on postage stamp scale reservoir characterisation, geological modelling and prospect evaluation – causing geologists to lose sight of the bigger contextual picture and the potential to see new opportunities through regional integration. To redress this, he believes that professional development must focus on the play fairway scale, and should also go back to basics by actually looking at rocks on the surface - through local and international exploration field trips - to better inform subsurface interpretation.

The challenges are not only the science. Exploration, like other parts of the industry, is facing what has been termed ‘the big crew change’. “We know only too well that we are set to lose invaluable geoscience experience in the next 15 years or so,” says Dr Archer. “And here again academia has a vital role to play in working with the E&P industry to address this.

“Not only will the crew itself change - the new crew will need to change the tools in the toolbox. For example, we need to manage the technical transition from structural to stratigraphic traps, from shallow and clearly imaged targets to deeper and fuzzier targets, from conventional to unconventional resources, and from extraction to sequestration.

“This is where the ‘old hand’ resource is vital – and Aberdeen is, after all, home to the second largest geoscience community in the world after Houston. We must tap into the invaluable experience of these old (and not so old) timers. At ExploHUB we provide an environment that feels more like a dedicated exploration team in an oil company than a classroom - with learning by doing rather than ‘chalk and talk’ or ‘death by powerpoint’.

“What we are creating, above all, is a gathering place for explorers in general. We’re distilling what it is to be a successful explorer, and harnessing that willingness to push back the new frontiers. Only by engendered and developing these qualities in the next generation of geoscientists will we successfully maximise the value of the Earth’s last remaining hydrocarbon resources.” ❑

Developing explorers for the new frontiers


ENERGEIA

“As a community we need to do something different to access the more complex reservoirs. We need a new generation of ‘explorationists’…”

Heavy oil reserves are vast but remain largely untapped as a result of the production, transportation, and refining challenges they present. Chemical engineering holds the key to unlocking the potential of heavy crude oil and Dr Neill Renton describes how the university is not only pushing the frontiers of heavy oil research but producing a new generation of chemical engineers to meet the growing needs of industry.

“Chemical engineers are at the heart of the oil and gas business and, as the fields become more technically difficult, top quality engineering skills are going to become ever more important,” says Dr Renton.

At the head of the University’s chemical engineering group, he is leading a two-pronged attack on these issues - seeking to ensure top-quality research is conducted to overcome the technical difficulties of more mature fields, and that increased numbers of highly qualified chemical engineers enter the sector.

“Aberdeen has achieved the critical mass to be a global centre of excellence for the oil

out a new field development from scratch. This contextual learning is proving vital in encouraging them to stay within the sector upon graduation”.

It is this close bond with industry that Dr Renton, who himself has extensive experience working for multinational companies, says is also driving the research agenda at Aberdeen.

“In addition to a strong academic team, we have also appointed Tom Baxter from Genesis – one of the most senior chemical engineers in Aberdeen. He is supporting teaching and research within the chemical engineering programme and his expertise is invaluable in driving forward initiatives which allow the University and the oil and gas sector to work together for mutual benefit.”

Heavy oil is aggressively being sought out as the world’s energy demand increases and as technology continues to improve. There are huge reserves of heavy oil in almost every oil province around the world, however it is very difficult and expensive to extract; new thinking is needed.

“We know that chemical engineering has a vital role to play in developing techniques for the extraction and transportation of heavy oil. We are currently investigating the rheological properties of the emulsions that heavy oils form with water. We’re looking at the role of droplet size distribution, asphaltene content and the chemistry of the oil-water interface in the development of effective viscosities to try and develop new ways of producing heavy oil fields.”

It is the skill of chemical engineers, working in collaboration with their geologist and petroleum engineering colleagues, which will be required to make this more viscous and dense resource flow through the sub-surface and into the production system, says Dr Renton.

“The heavy oil projects being developed in the North Sea now are just the start of a new technology challenge. It’s an exciting time to be involved in research and teaching and the University of Aberdeen can make a contribution to that challenge and further enhance Aberdeen’s central position in the global oil and gas market.” ❑

and gas industry and the University has an important part to play in maintaining this. In 2006 we became only the second university in the UK to launch a chemical engineering degree course in the past half century. The new chemical engineering group has recognised heavy oil as a strategic research priority for the coming decades.

“We are now seeing the direct impact the degree programme is having on industry. We have more than 160 students across the five years of the programme, with our first group of BEng students graduating last year and the first cohort of MEng students receiving their degrees in July. Every one of this group have gone on to jobs in the oil and gas industry with companies including Schlumberger, ExxonMobil, Genesis, Marathon, and Talisman.

“We have long recognised how important it is to maintain close links with industry and this is playing an important role in ensuring our students’ minds are opened to careers in the energy sector.

“Much of their learning occurs in the context of oil and gas production. An example of this is the multi-disciplinary design project they undertake in 5th Year. A number of oil and gas companies here in the city contribute to the design process where they carry

For more information: Dr Neill Renton, [email protected]

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Pictured: dr neill renton (Credit: donald Stewart) 7

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Exploiting the potential of heavy oil

Four decades of activity in the UK Continental Shelf have resulted in one of the most advanced legal and regulatory frameworks anywhere in the world. The University’s Centre for Energy Law (CEL), established in 2010, has drawn on this experience to provide not only a focus for energy law research but to forge key partnerships and support global industry. Professor Margaret Ross, Head of the School of Law, describes how the expertise of the Centre is in high demand and its plans to expand global reach in its second year. ➭

Pictured: emre Üsenmez and Professor margaret ross 8 www.abdn.ac.uk/energy

ENERGEIA

Taking the legal lessons learned in the North Sea to a global audience

Pictured above: Professor margaret ross

The University of Aberdeen has a long tradition of teaching law: it was over five hundred years ago that Bishop William Elphinstone first established a faculty of law at King’s College.

It has a proven track record of carrying out research across the whole spectrum of the energy sector, and in August 2010 a new Centre for Energy Law was established to harness this expertise.

Industry responded quickly, says Professor Ross, and the Centre has made swift progress in establishing an international reputation.

“Within months of the creation of the Centre the expertise of some members of its staff on the regulatory aspects of deepwater oil and gas development was in immediate demand in Denmark, the United Kingdom and the United States.

“Greg Gordon delivered papers in the UK and Denmark, and dealt with practical and theoretical queries, on Exploitation and Exploration of Deep-Water Oil: Regulatory Problems and Prospects, while John Paterson’s expertise on regulation and orientation in occupational health and safety offshore was called upon in a symposium in Massachusetts on Learning from Disaster: Lessons for the Future from the Gulf of Mexico.”

The Centre’s work includes being responsive to requests for expertise in regulatory regimes from around the world.

“Approaches have been received from China, Brazil, Mexico, India, Australia, Ghana, Nigeria and Lebanon, and countries with emerging energy industries where the school has graduates in key roles have been quick to seek support from Centre staff.

“It also benefits from the University’s involvement in WECAP, an informal academic network matched to the World Energy Cities Partnership and the University’s wider focus on Energy.”

Another member of the Centre’s staff, Emre Üsenmez, visited Brazil in June 2011 as a member of a UKTI/British Council delegation led by the Deputy Prime Minister, while Anatole Boute was appointed as an expert adviser to the World Bank, for his expertise in downstream activities in Russia.

Building links with lawyers involved in energy internationally is a priority for the Centre, says Professor Ross.

“This ensures cross-fertilisation of ideas, sharing of networks, and exposure of University of Aberdeen students to commercial realities.

The Centre has also continued the Law School’s collaboration with partners in the North Sea Energy Law Programme with the Universities of Copenhagen, Groningen and Oslo. This is a part-time two year programme including four intensive teaching periods of two weeks held at the four different universities with professors and researchers specialised in Energy Law.

The first group of professionals to complete the programme graduated in June 2011 at an event in The Hague.

“The Centre for Energy Law supports a range of teaching from the undergraduate LLB which includes options in Renewable Energy Law, Oil and Gas Law and Environmental Law, to postgraduate taught LLM programmes in Oil and Gas Law and Climate Change Law and Sustainable Development and Energy law postgraduate research degrees.

“In its first year the Centre hosted talks on campus from high profile speakers on oil and gas law in Iraq, the protection of energy investment contracts and also hosted seminars on The Russian Draft Convention on Energy Security and on Responding to Climate Change and Peak Oil in Small Island Developing States.”

In other developments John Paterson and Anne-Michelle Slater - the law school’s expert in marine spatial planning - were invited to meet with key staff from the European Commission’s Directorate General for Maritime Affairs and Fisheries to discuss the Commission’s developing role in Integrated Marine Policy, which included energy issues.

Links have also been established with energy lawyers from the Tim Fischer Centre for Global Trade and Finance, Faculty of Law, Bond University, Australia, to discuss common research interests in petroleum regulation, and specifically safety regulation in the wake not only of the Deepwater Horizon accident but also the Montara blowout in Australia’s sector of the Timor Sea in August 2009.

“The significant involvement of CEL staff in a range of international issues demonstrates the industry demand for this type of centre.

“We are not only meeting a growing demand but responding quickly to industry needs.”

To support this, academics within the Centre have been involved in updating or producing new chapters for the second edition of Oil and Gas Law: Current Practice and Emerging Trends, edited by Greg Gordon, John Paterson and Emre Üsenmez.

These chapters include discussion of significant developments in the law affecting oil and gas in the UK Continental Shelf in the fields of licensing, taxation, joint operating agreements, health and safety, decommissioning, stewardship, access to infrastructure, fallow blocks and discoveries, dispute management and resolution, and risk allocation.

For more information: www.abdn.ac.uk/energylaw

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“Our postgraduate students are drawn from a large international community with many working either in government or for oil and gas companies.

“Many of our students will go on to become leaders in their fields in their countries.

“The energy and expertise of its members and partners with their truly global reach, are what will make the Centre go from strength to strength.” ❑

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“Approaches have been received from China, Brazil, Mexico, India, Australia, Ghana, Nigeria and Lebanon, and countries with emerging energy industries where the school has graduates in key roles have been quick to seek support from Centre staff.”

“We are not only meeting a growing demand but responding quickly to industry needs.”

Sensor systems have a wide range of uses across many industries. In the subsea sector, sensors for temperature and pressure measurement are already in use in areas such as subsea well control systems, and various sensors are used on remotely operated vehicles (ROVs), but Dr Neilson says the potential for more intelligent systems is vast.

Aberdeen is leading the subsea developments for the consortium which also includes Dundee and Robert Gordon universities in the North East. The Universities of Glasgow, Strathclyde, Edinburgh, Heriot-Watt and St Andrew’s will focus on terrestrial and airborne systems.

“The Centre will strengthen sensors development within Scotland, and help maintain an

area that is estimated to be worth £2.1bn to Scotland’s economy and is recognised worldwide,”Dr Neilson says.

The overall aim of the Centre is to produce complete sensor systems, which are able to measure a variable, process the data, extract the relevant information locally and transmit that to the operator.

“If something is being monitored continually over a long period and is functioning correctly for 99% of the time you do not necessarily want years’ worth of data. However, if there is a trend or a sudden change then that should be picked up and reported.

“Currently this usually happens with the operator but this means transmitting all the data. To do it at source requires a sensor system that has some

local processing capacity and in built ‘intelligence’ to make decisions. Because of this the Centre includes institutions with skills in data processing, automated decision-making, and communications.

“In some cases networks of sensors which can communicate might be needed to effectively monitor a subsea system, for example a pipeline. A series of wireless sensors could be placed along the pipeline, monitoring its performance and passing relevant information along the line to the operator without the need for the installation of an umbilical cable.”

But it will not be down to academics to set the research agenda – projects will be driven by the needs of industry. The Centre will be putting out a call for project proposals which will be assessed by an industrially led steering group.

“Projects need to have an industrial partner committed to supporting the project and a university partner,” Dr Neilson added. “If companies have ideas they want to develop we can

facilitate this to allow them to discuss their requirements and then to build a proposal.”

The project, funded by the Scottish Funding Council, higher education institutes and industry, is already making progress.

“The SFC funds are allowing us to put in place sensor test beds to which industry will have access. We are currently awaiting delivery of laser based and diode based spectroscopic systems, which will complement our existing facilities. The presence of the pressure test facilities at our Oceanlab which can simulate depths of up to 6000m will allow us to offer industry the possibility of testing systems in near field conditions prior to deployment.” ❑

A new knowledge exchange hub, the Scottish Sensor Systems Centre, involving eight leading Scottish universities, private companies and the public sector has been established to help Scotland strengthen its position as a world leader in the development and use of sensor systems. Dr Richard Neilson from the university of Aberdeen details how industry needs will shape the research agenda.

Industry partnership drives research into sensor systems

For more information: sensorsystems.org.uk

Technical enquires: Richard Neilson, [email protected]

General enquiries: [email protected]

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Pictured: dr richard neilson www.abdn.ac.uk/energy

ENERGEIA

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professor John Watson and his research teams in the School of Engineering have spent more than a quarter of a century developing underwater holographic cameras “holocameras” which can record the subsea environment in an entirely non-intrusive and non-destructive way. These holocameras have been widely used in biological applications but have the potential to be utilised by the offshore oil and gas and renewable energy industries.

“When I first began to develop these holocams I had in mind that we would take holograms of pipelines and monitor corrosion pitting and any damage or visible defects, but it was the marine biologists who initially took interest,” says Professor Watson.

“Although holographic imaging is capable of resolving objects or particles down to a few micrometres dimension, our first holocamera was very large and heavy, recorded holograms on photographic film, needed laborious reconstruction and analysis in the laboratory and could only be deployed to 100 metres depth.”

However, with advancements in electronic optical sensors and the development of digital holographic recording, holography now has the potential to be used in a wide range of subsea applications of relevance to the offshore energy industry.

“Our latest holocamera (eHoloCam) is compact, and uses digital recording of 3D holographic videos with visualisation and analysis carried out entirely by computer processing,” Professor Watson continues.

“Using eHoloCam down to 450 metres depth in the North Sea, we have already recorded several thousand holograms of tiny subsea organisms such as plankton, which hold crucial indicators and clues to increase our understanding of the oceans of the world.

“Detailed holographic images of these organisms, which range in size from a few micrometres to several millimetres, are


essential for the marine biology community, providing vital information relating to their distribution and populations which would otherwise be difficult or impossible to extract.”

Now, in the School of Engineering, post-doctoral fellow Dr Nick Burns is leading a team - in conjunction with the University’s OceanLab - to re-develop eHoloCam for deployment to depths of 10,000 metres in the Kermadec Trench off the coast of New Zealand.

“Successful deployment of eHoloCam, planned for February 2012, at these extreme depths for biological applications will help us appreciate its potential for future deepsea applications in the oil and gas industry,” adds Professor Watson.

In the energy industry it could be used not only to investigate pipeline corrosion but could potentially be used to look at thermal flows around pipelines.

For the renewables sector, it could perhaps be applied to monitor water flow around the platforms of offshore wind turbines and the debris kicked up.

However, to reach this stage further research – and funding - is required. “Many offshore

problems require a slightly different design of holocamera,” he says.

“The holographic camera we are currently working with is really designed for taking holograms of semi-transparent scenes through the water – with a detector on one side and laser light source on the other.

“The offshore industry is mostly interested in solid objects – the corrosion of pipelines for example – thus the camera has to be redesigned to use light reflected from the subject.

“That requires a different holographic configuration, and larger electronic sensors with a smaller pixel size than currently being used. This is now what we will look to do.

“In the past the project has enjoyed support from a EC MASTS, NERC, DTI LINK programme (with CDL and Elforlight) and Marine Scotland,Aberdeen and we are looking for an industry partner to work with to further develop the eHoloCam for use in the oil, gas and renewable sectors.” ❑

For more infomation: Professor John Watson, School of Engineering, [email protected]

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Pictured: John Watson (credit Graham Jepson) 11

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Improving offshore safety is always high on the agenda and great progress has been made in recent years when it comes to regulation, management, technical operations and procedures. But investigations following major accidents, not only in the oil and gas industry but in other high risk environments, have shown that human behaviour often plays a major role. professor Rhona Flin explains how industrial psychologists at the university of Aberdeen are making progress when it comes to understanding the behaviours of workers and managers in safety critical industries such as energy and aviation, as well as in healthcare.

Risk offshore can be managed in a multitude of ways but by nature there is always a human factor to be considered even with sophisticated technical protection systems, says Professor Flin.

Does understanding human behaviour hold the key to improving offshore safety?

At the University of Aberdeen, she and her colleague Dr Kathryn Mearns have spent the last 20 years researching what influences workers’ behaviours in relation to safety and what can be done to reduce risk in hazardous environments.

In that time focus has shifted from the crews on the oil installations to the offshore managers and supervisors, and currently the team is investigating the important role played by senior managers onshore.

The Piper Alpha disaster and Lord Cullen’s influential report provided the impetus for Flin and Mearns’ safety studies, and partnerships were formed with the oil and gas industry and the Health and Safety Executive which have supported more than two decades of their research.

Their investigations began with a project which examined the selection, training and competence assessment of the offshore installation managers who were in charge of the platforms and rigs, with particular reference to their ability to take command in an emergency.

The psychologists looked at leadership, stress resistance and the ability to take autocratic decisions rapidly in uncertain conditions.

It transpired that very little was documented about these processes and the collated information became a book called Sitting in the Hot Seat (Flin, 1996). This also discussed the available psychological evidence on key skills relating to situation assessment, decision making, leadership and stress management.

“Following Lord Cullen’s report there was a flurry of activity across the industry to conduct quantitative risk assessments,” says Professor Flin. ➭

ENERGEIA


“Following Lord Cullen’s report there was a flurry of activity across the industry to conduct quantitative risk assessments”

Pictured: Professor rhona Flin

“But what also had to be taken into account was how the workforce perceived these risks. Collaborating with Norwegian psychologist, Torbjørn Rundmo from Trondheim University, Kathryn Mearns and I began to design risk perception questionnaires for the offshore workforce.

“What became apparent was that workers were in fact aware of the hazards. What we needed to explain was why they actually took risks. What was driving unsafe behaviours?

“Our risk-perception questionnaires evolved into safety-climate surveys which showed that managers and supervisors were key influences on the patterns of behaviour that were accepted at the worksites. We are now running similar studies in hospitals, as healthcare organisations have recently realised the level of risk for their patients.”

strategic managers that influence organisational safety.

Close collaboration with industry has been essential in order to conduct and develop this area of research.

“Major accidents like Deepwater Horizon or the RAF Nimrod crash have shown how important it is to better understand human behaviour and the role that psychology could play in helping to create safer environments offshore,” Professor Flin adds.

“The industry itself has become much more aware of human factors in recent years and we have seen a big shift in attention towards behaviours relating to cognitive skills, team working and leadership, which are part of the human factors portfolio. Indeed many of our PhD students who have worked with us to investigate these matters are now working in the oil and gas sector.

“However, although it is generally realised that senior managers can influence safety there is actually very little evidence as to which behaviours have the greatest impact.

“We have adopted the approach from medicine of trying to provide the data on human behaviours so that managers can engage in evidence based practice. By doing this, psychology could unlock one of the key human factors which is still not fully understood when it comes to offshore safety.” ❑

For moreinformation: Isabella Roger, [email protected] or Professor Rhona Flin, [email protected]

iFor more information on the work of the industrial Psychology research Centre visit: www.abdn.ac.uk/iprc

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Since then work has progressed and the psychologists are now focusing on the role of senior managers in both the energy and aviation sectors.

“It became clear that it was not only the site managers who influenced safety. The offshore workforce knew all too well that site managers were directed by more senior managers onshore.

“We are now looking at the important role that senior managers can play and the Energy Institute is sponsoring research by one of our PhD students, Isabella Roger, who is endeavouring to identify the leadership behaviours of

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“What became apparent was that workers were in fact aware of the hazards. What we needed to explain was why they actually took risks. What was driving unsafe behaviours?”

Isabella Roger is a PhD student investigating senior managers’ influence on organisational safety in the energy industry. This research is sponsored by the Energy Institute and is informed by continuing collaboration with operating companies, contract/service companies and health and safety regulators.

The work focuses on identifying key skills and behaviours which differentiate excellent safety leaders. Her findings point to the fact that effective leaders at the senior level strive to maintain risk awareness, particularly in an operational sense.

She sets out six key questions senior managers can ask themselves to assess their safety leadership skills and risk awareness.

• DoIknowwherethebiggestrisksaregoingtobeto our operations today?

• Doesthiscompanyplacesufficientfocusonourprocess safety risks, in addition to our personal safety risks?

• DoIthoroughlyconsiderhowbudgetdecisionsmay affect the long-term integrity of our assets and ability to maintain safe conditions for the workforce?

• DomyemployeesbelievethatIwillsupportthemin the event that they have to stop operations to address safety concerns?

• DoIinitiateopenconversationswhichallowmetohear the true concerns of the workforce?

• HowcanIbesurethatlessonsfromnearmissesand incidents are being shared and understood across all company sites?

…work has progressed and the psychologists are now focusing on the role of senior managers in both the energy and aviation sectors.

Six key questions

Art and science are often seen as separate realms but are brought together in a creative environment for the annual Fabric of the land exhibition, organised by the Department of Geology and petroleum Geology. Combining fine art and items of geological interest or significance in the same space has captured the public imagination and professor Andrew Hurst reflects on the growing reputation of this innovative exhibition.

The Scottish environment and landscape is shaped by its geology, none more so than in the North-East where the exploration of geological resources has shaped the city of Aberdeen and surrounding areas.

It was this link between geology and landscape which inspired the first Fabric of the Land exhibition in 2009, explains Professor Hurst.

“One of the great things about being a geologist is that so many lay people can relate to the medium with which we work. We look at the land before us and see thrusts, fossils and millions of years of earth history and artists look at the same and see beauty, colour, texture, shade and, they see things differently than we do.

The art of our Earth

“They make observations that are not necessarily related to science sensu stricto and when they transpose their observations from reality into the abstract form that is in every artwork ever made, an exciting connection is made between the natural beauty of our science and a beauty in artistic form that many more can appreciate.

“It therefore seemed natural for us to showcase an exhibition which marked the crossover between the two. Art should be shared and be used to stimulate learning.”

Now in its third year, with the exhibition running from August 27 to September 18 2011, Fabric of the Land is attracting not only growing numbers of visitors but national and even international interest.

More than 120 artists from across the UK submitted entries in line with this year’s theme the Origin of Colour.

Sponsored by diversified energy services company Senergy and curated by SMART Consultants, the exhibition brings together artists working in a diverse range of mediums ranging from painting and photography to sculpture and jewellery design.

Professor Hurst hopes to build on this success to take Fabric of the Land across the Atlantic. “We’ve had interest in the exhibition from across the world and many artists have written to say how inspired they have been by the concept.

“The Fabric of the Land is unique not only because we combine art and science but because of the setting. In a matter of days an ordinary geology laboratory is transformed into an art gallery. Benches are removed, the equipment is put away and a space is created to rival any museum.

“It was important to us that we hold the exhibition in a laboratory as it underpins the connection between art and science.” ❑

For more information: www.fabricoftheland.com

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For more information: www.abdn.ac.uk/geology/research/facilities/seislab.php

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The opening of the new seislAB has placed the university of Aberdeen at the forefront of uK research using seismic surveys from the energy industry. professor Ben Kneller describes how this innovative partnership is helping not only in developing skills and technology in the oil and gas arena, but will also contribute to a fundamental understanding of our planet.

“The University of Aberdeen has long held a respected position in the field of petroleum geosciences but we need the support of the leading industry players to work with us in developing leading-edge facilities,” says Professor Kneller.

The recent opening of the seisLAB has demonstrated the benefits arising from combining industry resources and academic expertise. seisLAB utilises seismic data acquired by the industry, whose acquisition cost is usually beyond the reach of academic researchers.

By teaming up with energy companies BP, Chevron, BG Group, Halliburton and Schlumberger, academic staff, master’s and PhD students within

the department of geology now

have access to these advanced

resources.

And this is essential, says

Professor Kneller, in equipping

them for future careers in the

energy industry.

“We estimate that 70-80% of

our geology graduates will be

engaged in work of this type

when they gain employment in

the industry. It is crucial therefore

that they are trained in an

environment where seismically-

based research is at the forefront,

that our teaching programmes

allow students to develop these

skills, and that Aberdeen, as

Europe’s energy capital, remains

at the forefront in tackling the

challenges of this industry.

“Geology has been taught at the University of Aberdeen for more than 150 years, and today the University has an international profile and reputation as a centre of excellence for its teaching and research in petroleum geology. In contrast to the national trend, Aberdeen’s numbers of geology students at both undergraduate and postgraduate level has enjoyed steady growth since the mid 1980s.

“They now have the benefit of working in a wholly refurbished, air-conditioned space which houses fifteen Linux, Unix and Windows workstations, an adjacent seminar/study area with display space and projection facilities, in addition to centrally-housed servers and RAID data storage. This has all been made possible by the enthusiasm and generosity of our industry partners to whom we are extremely grateful.”

The facilities have already played a part in attracting international students to the University and three PhD candidates

Innovative partnership deepening subsurface research

from PEMEX – the national oil company of Mexico – are using seisLAB in their research projects.

But it is not only graduates – and their future employers – who gain from the partnership. Professor Kneller says seisLAB is contributing to a fundamental understanding of our planet.

“The opening of our seisLAB consolidates seismic interpretation based research within our School of Geosciences.

“By using the three-dimensional seismic data provided by industry, researchers are able to investigate the structure of large portions of the upper crust of the Earth, to analyse its sedimentary systems, and to deduce its geological evolution. The three-dimensional views that seismic data give us, offers an unparalleled opportunity to examine the way the Earth works. ❑

Pictured: Prof Ben Kneller and Phd student Zonia Palacios 15

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mention legacy building and 2012 and the london Olympics may spring to mind but in Aberdeen the words carry a different meaning as the city prepares to host Europe’s biggest science festival – aiming to inspire the next generation of scientists, technologists and engineers.

Dr Ken Skeldon explains how the university is building on a 20-year tradition in public engagement with science and how the impact of the British Science Festival could be felt by industry long after 2012.

Aberdeen is a city with a history in engaging

the wider community with exciting

innovations in science and technology, many

of which come as a direct result of its central

position in the energy sector.

Today the University of Aberdeen is taking a

leading role in driving forward creative events

and activities which engage a wide range

of audiences.

This is epitomised not least by the University’s

successful bid to hold Europe’s largest

celebration of science, engineering and

technology – the British Science Festival –

in 2012.

Aberdeen: A vibrant community of science

Dr Ken Skeldon, of the University of Aberdeen’s Public Engagement with Science Unit, says Aberdeen has a 20-year tradition of pushing the boundaries when it comes to bringing the public face-to-face with those people undertaking groundbreaking research, science and innovation.

“Satrosphere is Scotland’s first science and discovery centre and one of the very first to be established in the UK. Since 1988 hands-on exhibits and live science shows have helped visitors discover more about the world around them and the science of how things work.

“Aberdeen is also home to TechFest-SetPoint, a charitable organisation which aims to ➭

Pictured: dr Ken Skeldon and Amy Phillips

ENERGEIA


Where else but a university would you expect discussion and debate on a topical issue from all perspectives? Public events and lectures at the University of Aberdeen seek to do just that: to bring together industry, academia, policymakers and the public to look from all angles at the big issues facing industry and society as we move through this century of challenge and opportunity.

The Energy Controversies Lecture Series is now a regular highlight of the University’s public programme, and is designed to hear from experts and stimulate discussion of some of the contentious issues surrounding global energy use.

Topics featured to date include the decline of fossil fuels as an energy source, the impact of a changing international political climate, and the scientific background to the climate change debate. Prior to the 2011 Scottish Government elections, a cross-party panel of politicians discussed their energy policies with a lively audience in a packed King’s College Conference Centre.

A second series, the RV Jones Lectures, commemorates one of the University’s most distinguished academics, at spring and autumn events which welcome leading international experts in the various fields of engineering. Reginald Victor Jones (known to colleagues as RV) played a key role in the defence of Britain during World War II, working as a scientific advisor for British Intelligence and Winston Churchill. At the end of the war, RV Jones came to Aberdeen to become Professor of Natural Philosophy, and enjoyed a career of over thirty years as a gifted educator who was passionate about teaching and scientific history, finally retiring in 1981.

University lectures normally start at 6pm in King’s College Conference Centre, University of Aberdeen, and are usually followed by a wine reception and the opportunity for further discussion and networking. Dates for events this coming autumn will be announced soon. ❑

inspire young people about science, technology, engineering and mathematics and whose annual TechFest event is one of the UK’s longest running festivals.

“The University has long recognised the importance of working in partnership with such organisations and our bid for the British Science Festival was strengthened in no small part by these relationships.”

Dr Skeldon says it is becoming ever more important for universities to embrace the community engagement agenda in order to bring their research and the people doing that research face to face with the public.

“Such activities benefit both camps and help forge new skill sets with researchers reaching a more diverse audience than simply their peers.

“The University of Aberdeen has embraced this challenge and the community of Aberdeen, home to many of the high-tech industries which support oil and gas, has welcomed and supported the opportunities.

“The University’s Café Scientifique programme is now the biggest in the UK engaging an audience of 4,000 people per year across a range of informal settings with discussion and debate at its core.

“Much of this activity thrives through partnership with business and industry, together with voluntary and community organisations and crucially the education sector.”

The British Science Festival is expected to take this to a new level with thousands of visitors descending on Aberdeen for a stimulating programme featuring leading academics, award-winning commentators, science communicators, authors and performers.

There will also be a dedicated programme for primary and secondary school pupils.

“The event is not just for those who work in science; it’s also a tremendous opportunity for the whole of our community - from businesses to schools - to get involved and be part of this flagship event for Scotland,” Dr Skeldon added.

“We are determined that this event benefits the full range of stakeholders and ensures legacies are built.

“Aberdeen and the North-East present a great set of opportunities going forward for highly skilled engineers, scientists and technologists, many as a result of its energy industry, and we hope the festival will help to encourage a new generation of young

people to embrace science, technology, engineering and maths as a career path of choice.

“We also aim to encourage more companies to get involved in public engagement events, and forge stronger links with industry and with education initiatives in the region.

“Within the University we hope to see a greater number of our own staff and students getting engaged with the wider community and acting as role models for young people starting out on their education experience.

“A stronger annual TechFest moving forward will also benefit our objectives, helping ensure that more young minds are opened to science and technology.

“This is Aberdeen and the North East’s chance to shine – let’s make the most of it.” ❑

For more information: Dr Ken Skeldon [email protected]

details of the British Science Festival, which runs from September 4-9 2012, are available at: www.abdn.ac.uk/2012

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For more information and book forthcoming University events: www.abdn.ac.uk/events

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Debating the hot issues in energy and engineering

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Scholarships are essential in helping to attract the most talented students to Aberdeen, with more than 250 awarded annually by the university.

The local and international oil and gas industry has been quick to recognise the important role scholarships play in promoting their industry and attracting and developing a new generation of highly skilled graduates - many of whom go on to join the energy sector.

Scholarships can be awarded based on academic merit, financial need, or personal characteristics and help to create a vibrant and stimulating academic community.

Industry supporters of the University’s Scholarship Programme include Talisman, Halliburton, CNR, Atkins, Kongsberg, Technip, Chevron, Suncor, Falc Nutec, OPITO, and Fugro Rovtech. In addition to financial support scholarships also provide students with opportunities to apply for work and project placements and to benefit from mentoring and networking with industry leaders.

By offering scholarship support companies can establish lasting relationships with exceptional students, raise their profile among the University’s wider student body and develop relationships with leading academics in business-relevant disciplines.

George Yule, President of Aberdeen and Grampian Chamber of Commerce and Honorary Research Fellow at the University, said: “Scholarships not only provide direct support for students, they also add value in promoting academic and industry collaboration which benefits all parties.

A student from the university of Aberdeen has been awarded the Society of petroleum Engineers’ (SpE) most prestigious international scholarship.

Nurkenay Bulekbayeva, 19, has been awarded the SPE STAR Scholarship Award for the North Sea Region for 2011-12, beating off competition from undergraduate students from across Europe.

Nurkenay, originally from Kazakhstan, is in her second year studying Petroleum Engineering at the University of Aberdeen and has been a member of the SPE Aberdeen Section since arriving in Scotland to study.

The scholarship is regarded as the most sought-after and prominent award given out by the international organisation, and after a challenging application process, where Nurkenay’s academic achievements and personal qualities were scrutinised, Nurkenay was chosen as only one of two winners for the North Sea region.

Nurkenay, who is also vice-president of the University of

Aberdeen’s SPE student chapter, said: “It is such an honour to be given this award by SPE. As soon as I arrived in Aberdeen I was advised to join SPE as it was the best way for students to interact with industry and the Aberdeen Section has been extremely supportive of me and my studies since I joined.”

The STAR Scholarship Award means Nurkenay receives approximately £1,550 [$2,500 USD] per year until she graduates, and SPE Aberdeen and the University of Aberdeen have agreed to provide extra sponsorship for Nurkenay so that she can to fly to Denver, Colorado to collect her award at the SPE Annual Technical Conference and Exhibition (ATCE) later this year.

Professor Tom O’Donoghue, Head of the University’s School of Engineering, added: “This is a fantastic achievement and everyone in the School of Engineering joins me in congratulating her. Nurkenay’s award is another great advert for our new undergraduate Petroleum Engineering programme which started in 2008 and goes from strength to strength.” ❑

Aberdeen student wins prestigious international scholarship

Pictured: Simon Seaton (centre), UK vP halliburton and Jonathan Carney & Janet herd.

Pictured: nurkenay Bulekbayeva (thinkPr)

“I’d encourage businesses and business leaders to become involved in scholarship programmes to help talented students to reach their full potential.”

Jonathan Carney, BSc Geology & Petroleum Geology, received the Halliburton scholarship in 2010. He said “The scholarship has benefited me in all aspects of my life. Financially the scholarship has given me the opportunity to continue with my most exciting and advantageous ventures whilst creating the time to study more efficiently for university. It is not just the money that has been beneficial, for me the pride in being awarded this scholarship was immense.”

The University’s Development Trust will be pleased to discuss all of the opportunities for establishing scholarships at Aberdeen. ❑

Investing in the energy ‘stars’ of the future

For more information: Phillipa Dunford [email protected]

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ENERGEIA

By offering scholarship support companies can establish lasting relationships with exceptional students

The university’s flagship new library offers unrivalled views across Aberdeen and provides state-of the-art facilities not only for staff and students but for the wider community.

The £57 million project has been achieved with the support of the local business community and the oil and gas sector has played a pivotal role.

Global shipping and energy services firm the Craig Group and the Craig family made a £1 million donation towards the creation of the top floor of the new Library.

The Craig Floor overlooks the North Sea and also affords spectacular views to the inner atrium. As the centrepiece of the new structure, the atrium rises and turns from entrance level to The Craig Floor, offering a seamless flow from the public exhibition area of the Special Collections Centre, up towards the learning and research areas of the Library.

The David Craig Suite houses a series of flexible conference and seminar rooms and will be used for University and student events as well as being made available to the wider business community for meetings and informal evening receptions.

The energy industry is also recognised in the Library’s Heritage Suite which celebrates many of the business sectors which have been crucial in the development of the North East of Scotland through the centuries.

Talisman Energy (UK) Ltd, Technip UK Limited, Suncor UK Ltd and Hess Corporation have also made significant contributions towards the Library. In addition to providing a cutting-edge learning and research environment to students and staff, the building will also safely preserve the University’s distinguished collections of rare historic manuscripts, books and archives and make them available to community audiences from across northern Scotland and far beyond. ❑

Work is now underway on the Aberdeen Aquatic Centre – the next phase of Aberdeen Sports Village.

GRAHAM Construction, which is in the final stages of completing the refurbishment of the Royal Commonwealth Pool in Edinburgh, took possession of the site, formerly home to Linksfield Academy, in August and is now planning the new build.

The Centre will be the second phase of the Aberdeen Sports Village development, building on the success of the £28 million regional sports centre which opened in August 2009 and is a partnership between the University, sportscotland and Aberdeen City Council.

It will provide long lane training opportunities for elite swimmers who currently have no facilities north of Stirling, and provide a community facility that will encourage participation in water-based activities at all ages and abilities.

David Beattie, CEO of Aberdeen Sports Village, said: “With the London Olympics just around the corner this is an important time for sport in the UK so it is fantastic to see our vision for the aquatic centre starting to become a reality.

“We have enjoyed wonderful support from the business community, including the oil and gas sector, which has been essential in bringing the project to this stage.” ❑

For more information on the facilities provided by the new Library: www.abdn.ac.uk/newlibrary

For more information about how to get involved in the project: www.abdn.ac.uk/giving/major-projects/aquatic-centre

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Energy industry plays major role in iconic new building for Aberdeen

Aqua sports for all

Opening of the Aquatics Centre is planned for early 2014.

Pictured: Prof ian diamond and douglas Craig md & Chairman, Craig Group, at the new library during construction

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ENERGEIA - University of Aberdeen · 2018-02-01 · links all over the world, the University of Aberdeen is ideally placed to work with the energy industry on the challenges it faces